Washington’s trillion corona aid: The target accuracy is missing

The fact is, the American economy needs more federal aid. But the politicians are once again lacking accuracy and squandering funds instead of using them where they are really needed.

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The latest economic data from the United States are both gratifying and worrying. The world’s largest economy has shrunk less than feared last year. The minus of 3.5 percent means the sharpest slump in gross domestic product (GDP) since 1946. The economic output of the euro area, however, slumped almost twice as much in 2020. And the budget bureau of the US Congress (CBO) assumes that GDP in America will return to its pre-crisis level by mid-2021.